By Wolens                                              H.B. No. 792
         77R937 JMC-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to certain procedures regarding state bar disciplinary
 1-3     proceedings and to a limited waiver of immunity from liability by
 1-4     the state bar and certain employees of the state bar.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1.  Subchapter B, Chapter 81, Government Code, is
 1-7     amended by adding Section 81.0141 to read as follows:
 1-8           Sec. 81.0141.  LIABILITY; LIMITED WAIVER OF IMMUNITY.  (a)
 1-9     The state bar is liable for damages proximately caused by the
1-10     wrongful act or omission or the negligence of an employee acting
1-11     within the scope of the employee's employment if:
1-12                 (1)  the damages arise from the employee's conduct as
1-13     an attorney representing the state bar in a disciplinary
1-14     proceeding; and
1-15                 (2)  the state bar would, if the state bar were a
1-16     private person, be liable to the claimant under state law.
1-17           (b)  Sovereign immunity from liability is waived and
1-18     abolished to the extent of liability created by Subsection (a), and
1-19     a claimant may bring an action against the state bar for damages,
1-20     including exemplary damages.
1-21           (c)  An employee of the state bar waives any immunity to suit
1-22     or from liability established under common law for damages,
1-23     including exemplary damages, that arise from the employee's conduct
1-24     as an attorney representing the state bar in a disciplinary
 2-1     proceeding.  Chapter 104, Civil Practice and Remedies Code, does
 2-2     not apply to an employee of the state bar to the extent that the
 2-3     employee's individual immunity is waived under this subsection.
 2-4           SECTION 2.  Section 81.072, Government Code, is amended by
 2-5     adding Subsections (h) and (i) to read as follows:
 2-6           (h)  The state bar shall ensure strict compliance with the
 2-7     Texas Rules of Disciplinary Procedure, including rules relating to:
 2-8                 (1)  disciplinary proceedings; and
 2-9                 (2)  the nomination and appointment of members of
2-10     district grievance committees.
2-11           (i)  The state bar or a court may not require an attorney
2-12     against whom a disciplinary action has been brought to disclose
2-13     information protected by the attorney-client privilege if the
2-14     client did not initiate the complaint that is the subject of the
2-15     action.
2-16           SECTION 3.  Subchapter E, Chapter 81, Government Code, is
2-17     amended by adding Section 81.080 to read as follows:
2-18           Sec. 81.080.  RIGHT TO SUPERSEDE ON NOTICE OF APPEAL.  On the
2-19     filing of a notice of appeal of an order or judgment of disbarment
2-20     or suspension, the order or judgment shall be superseded during the
2-21     pendency of the appeal.
2-22           SECTION 4.  Section 81.080, Government Code, as added by this
2-23     Act, applies only to a notice of appeal of an order or judgment of
2-24     disbarment or suspension filed on or after the effective date of
2-25     this Act.
2-26           SECTION 5.  Section 81.0141, Government Code, as added by
2-27     this Act, applies only to a cause of action that accrues on or
 3-1     after the effective date of this Act.  A cause of action that
 3-2     accrued before the effective date of this Act is governed by the
 3-3     law as it existed immediately before the effective date of this
 3-4     Act, and that law is continued in effect for that purpose.
 3-5           SECTION 6.  This Act takes effect September 1, 2001.